Compound Treasury Launches Borrowing for Institutions

Reid Cuming
Compound Labs
Published in
2 min readSep 14, 2022

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Last year, Compound Treasury launched an institutional cash management solution powered by the Compound Protocol, offering a 4.00% APR on USD and USDC with daily liquidity. Our clients, including fintechs, crypto companies, and banks, have been able to rely on Compound Treasury as a predictable source of yield.

In May, Compound Treasury became the first DeFi-backed company to receive a credit rating from a major agency, introducing the highest level of transparency and accountability in the industry.

Starting today, to meet the growing demand for liquidity, institutions can now borrow from Compound Treasury, using digital assets as collateral.

Market-leading Terms

Accredited institutions can borrow USD or USDC with fixed rates starting at 6% APR, using Bitcoin, Ether, and supported ERC-20 assets as collateral.

Borrowing is offered with an open-ended term and no repayment schedule, providing our clients the flexibility to draw liquidity and repay balances as they see fit–for as long as they remain overcollateralized.

Institutional Liquidity, Powered by DeFi

Liquidity is provided by Compound Treasury clients and the Compound Protocol (with over $3 billion in assets, and more than $285 billion in total transaction volume since inception). Collateral never leaves Compound Treasury’s control, increasing transparency and the safety of funds for our clients.

Meeting Market Demand

Institutions continue to face challenges trusting opaque CeFi products or interacting directly with DeFi protocols to manage their balance sheet. Recent market volatility has reduced available liquidity and trustworthy options for borrowers; however, demand for liquidity remains robust.

“Compound Treasury can now address demand for liquidity with a simple, reliable borrowing solution, while continuing to provide the same trusted service we’ve delivered to clients earning interest over the past year,” said Reid Cuming, VP of Compound Treasury, “Introducing borrowing expands our cash management product to meet more needs of our clients.”

Our vision for Compound Treasury is to be the most trusted and transparent partner for institutions to access the core benefits of DeFi. Learn more about Compound Treasury’s institutional DeFi offerings at compoundtreasury.com.

About Compound Treasury

Compound Treasury provides cash management solutions for institutions, powered by the Compound Protocol. Accredited institutions can earn 4% APR on USD and USDC with daily liquidity, or borrow using Bitcoin, Ether, and supported ERC-20 assets as collateral.

Our clients benefit from the transparency and liquidity of DeFi, through a compliant counterparty providing white-glove service. Compound Treasury is offered by Compound Prime, LLC, a subsidiary of Compound Labs, Inc.

To get in touch with our sales team — sales@compoundtreasury.com

For any media inquiries — media@compoundtreasury.com

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